Slips as oil crash and AI fears rattle Wall Street

Oil prices falling sharply and renewed concerns about AI stocks drove a mixed session on Wall Street, with the Dow edging higher while the Nasdaq and S&P 500 slipped. The Dow Jones Industrial Average gained 0.2%, supported by its lighter exposure to technology. The S&P 500 fell 0.2% and the Nasdaq Composite dropped 0.4%, extending a difficult stretch that began in earnest on Tuesday after AI-focused names sold off.

In commodities, Brent crude futures dropped 4% to settle around $73 per barrel, while West Texas Intermediate fell to $70, the lowest since early March. The move was linked to a reopening of sorts in the Strait of Hormuz as oil tankers began navigating again after tensions tied to the U.S.-Iran conflict. However, uncertainty remains as Iran and Oman reportedly discussed possible transit fees, which could become a flashpoint in broader negotiations, despite President Trump’s pledge that no tolls would be imposed.

Technology weakness continued, reflecting worries about stretched valuations, large capital spending plans, and possible interest-rate hikes later in 2026. Micron Technology slid 13% on Tuesday after a surge of more than 250% for the year, and investors awaited its quarterly earnings due after Wednesday’s close for guidance on the durability of AI-driven demand.